State will continue health insurance subsidies
State officials said Monday that a program for health insurance premium relief has more than enough money to get through the end of the year.
Minnesota Management and Budget (MMB) says 105,000 people in the individual insurance market have received discounts totalling $54.8 million so far under the Premium Assistance Program.
The pace is well below the 125,000 estimate that lawmakers used in January when they approved $312 million for the program.
MMB Commissioner Myron Frans said there is sufficient funding to continuing providing the full subsidies.
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“I consider that a huge success,” Frans said. “This discount is having a real impact on people throughout the state, and we can now say that there is enough money to maintain a 25 percent subsidy for all eligible Minnesotans through the end of 2017.”
Frans estimates the total premium subsidies for the year will total less than $200 million.
MMB say the average monthly savings for a single person receiving the subsidy is $155.26.
Under the program, Minnesotans who buy health insurance on the individual market and who are not eligible for federal subsidies get 25 percent premium discounts.